The Republican-led U.S. Senate voted on Tuesday to end a 10-year ban that stopped states from regulating artificial intelligence models, a plan seemingly supported by Big Tech companies. As per a report from Reuters, lawmakers voted 99-1 to remove the ban from the bill by adopting an amendment offered by Republican Senator Marsha Blackburn.
The vote comes as part of a larger marathon session known as a “vote-a-rama” over the US president’s “big, beautiful bill”, in which lawmakers offered numerous amendments that Republicans eventually hope to pass.
Big tech companies and similar supporters said it was necessary to stop states from making their own confusing rules related to artificial intelligence in order to avoid choking innovation and keep the US from falling behind China.
The only lawmaker who has voted to retain the ban has been Republican Senator Thom Tillis. Meanwhile, Blackburn had presented her amendment to strike the provision a day after agreeing to compromise language with Senate Commerce Committee chair Ted Cruz. This would have cut the ban to five years.
Blackburn then withdrew her support for the compromise before the vote.
“The current language is not acceptable to those who need these protections the most. Until Congress passes federally preemptive legislation like the Kids Online Safety Act and an online privacy framework, we can’t block states from making laws that protect their citizens.”
For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds. The hedge fund data is as of Q1 2025.
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10. BigBear.ai Holdings, Inc. (NYSE:BBAI)
Number of Hedge Fund Holders: 17
BigBear.ai Holdings, Inc. (NYSE:BBAI) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On July 1, H.C. Wainwright analyst Scott Buck raised the price target on the stock to $9 from $6 and kept a “Buy” rating on the shares.
The firm’s buy rating stems from positive momentum exhibited by the stock during the first half of 2025. In particular, shares of BigBear.ai increased 52.6% on the back of new customers and contracts, as well as positive underlying secular trends in AI-driven defense and security.
BigBear.ai has recently won multiple deployments of its biometric software for Enhanced Passenger Processing at airports and ports of entry, a strategic partnership in the UAE, along with a collaboration with Analogic. It has also achieved some balance sheet improvements, offering it the flexibility to pursue potential acquisitions that could further boost revenue growth and profitability.
The firm believes that shares will sustain current momentum as the company executes against its current guidance. Therefore, it recommends investors to continue accumulating a position in lieu of the improving financial results in the second half of 2025 and 2026.
BigBear.ai Holdings, Inc. (NYSE:BBAI) is an artificial intelligence specialist that provides decision intelligence solutions for national security, digital identity, supply chain and logistics, enterprise operations, and manned-unmanned teaming in autonomous systems.
9. Marvell Technology, Inc. (NASDAQ:MRVL)
Number of Hedge Fund Holders: 73
Marvell Technology, Inc. (NASDAQ:MRVL) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On July 1, Piper Sandler analyst Harsh Kumar reiterated an “Overweight” rating on the stock with an $85.00 price target, citing the company’s XPU growth strategy.
The firm is confident that Marvell’s XPU strategy is on track and will ramp up significantly in the near to mid-term timeframe. It considers Marvell to be one of the two companies that possess intellectual property to service the leading-edge XPU market for hyperscaler customers.
“Growth to be Driven by XPU Proliferation; Last week, we had the opportunity to host management meetings with MRVL. We came away reaffirmed that the growth strategy for the company related to their XPU strategy is on track and is set to ramp significantly in the near to mid-term time frame. In our view, MRVL is one of only two companies that holds the necessary IP to service the leading-edge XPU market for hyperscaler customers, and we continue to believe this market will continue to be resilient as hyperscaler spend remains strong. Below are our key takeaways from the meetings.”
Marvell Technology, Inc. (NASDAQ:MRVL) engages in the development and production of semiconductors, focusing heavily on data centers.
8. Oracle Corporation (NYSE:ORCL)
Number of Hedge Fund Holders: 97
Oracle Corporation (NYSE:ORCL) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On July 1, Citizens JMP analyst Patrick Walravens reiterated a Market Outperform rating on the stock with a $240.00 price target.
The rating affirmation follows Oracle’s recent Form 8-K filing, which has disclosed that Oracle had “signed multiple large cloud services agreements, including one that is expected to contribute more than $30 billion in annual revenue starting in FY28.”
The firm continues to remain confident in Oracle’s growth trajectory, predominantly with newly signed cloud service agreements beginning to materialize in the coming fiscal years.
A day prior, Barclays analyst Raimo Lenschow reiterated an “Overweight” rating on the stock with a $221.00 price target. The rating affirmation followed expectations for the company shares to move higher in response to its 8K, its filing, which highlighted a strong start to FY26 and disclosed how Oracle has signed multiple large cloud services agreements.
Oracle Corporation (NYSE:ORCL) is a database management and cloud service provider.
7. Tesla, Inc. (NASDAQ:TSLA)
Number of Hedge Fund Holders: 104
Tesla, Inc. (NASDAQ:TSLA) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On July 1st, Wedbush analyst Daniel Ives reiterated an Outperform rating on the stock with a $500.00 price target following the latest criticism from Trump.
Ives considers the Trump-Musk relationship to be a “soap opera” that has become a significant overhang on Tesla’s stock.
“As we discussed, this BFF situation has now turned into a soap opera that remains an overhang on Tesla’s stock, with investors fearing that the Trump Administration will be more hawkish and show scrutiny around Musk-related US government spending related to Tesla and SpaceX, and most importantly the autonomous future, with the regulatory environment key to the future of Robotaxis and Cybercabs. We would expect the stock to be weak to kick off trading this morning as the Street will show concern that the Trump and Musk once BFF relationship now backfires and turns into a junior high school friendship gone bad into an enemy. We believe this situation will settle and at the end of the day Musk needs Trump and Trump needs Musk given the AI arms race going on between the US and China. The jabs between Musk and Trump will continue as the budget rolls through Congress, but Tesla investors want Musk to focus on driving Tesla and stop this political angle, which has turned into a life of its own in a roller coaster ride since the November elections. At the end of the day, being on Trump’s bad side will not turn out well, and Musk knows this, and Tesla investors want this back and forth to end. We maintain our Outperform rating and $500 price target.”
Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company that leverages advanced artificial intelligence in its autonomous driving technology and robotics initiatives.
6. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)
Number of Hedge Fund Holders: 186
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On July 1, Needham analyst Charles Shi raised the firm’s price target on the stock to $270 from $225 and kept a “Buy” rating on the shares, citing robust AI-driven growth prospects through 2027.
Based on its newly launched AI wafer demand model, the firm anticipates that TSM’s total revenue will grow from $87.9 billion in 2024 to an estimated $114 billion this year, $130 billion in 2026, and $160 billion in 2027. Meanwhile, its AI chip revenue may increase from $26 billion this year to $33 billion in 2026 and $46 billion in 2027. Silicon content growth is poised to become an important driver for TSM’s AI revenue expansion.
The company has set a goal of reaching $90 billion in AI chip revenue by 2029.
“We think that TSMC’s extremely bullish outlook on AI may in fact be built on a set of conservative assumptions.”
With regard to capital expenditure predictions, the firm anticipates Taiwan Semi’s capital expenditure to grow moderately from $40 billion in 2025 to $45 billion in 2026 and $50 billion in 2027. It also pointed out that the rollout of Rubin Ultra should lead to growth re-acceleration in 2027 and beyond, and that CoWoS/HBM packaging capital expenditure may stay subdued in 2026 before HBM packaging capital expenditure gains traction in 2027.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) manufactures and sells advanced chips used in artificial intelligence applications.
5. Apple Inc. (NASDAQ:AAPL)
Number of Hedge Fund Holders: 159
Apple Inc. (NASDAQ:AAPL) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. According to a recent Bloomberg News report, Apple is currently considering using artificial intelligence technology from Anthropic or OpenAI to power a new version of Siri, rather than relying on its in-house models.
According to the report, the tech giant has been in discussions with both companies about using their large language models for Siri. Reportedly, it has asked them to train versions of their LLMs that could run on Apple’s cloud infrastructure for testing.
It must be noted here that Apple’s investigation into third-party models is at an early stage and that no final decision has been taken yet regarding their use.
Apple is a technology company known for its consumer electronics, particularly the iPhones and MacBooks.
4. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 212
NVIDIA Corporation (NASDAQ:NVDA) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On July 1, Bank of America reiterated the stock as “Buy.” The firm believes that Nvidia is a key player in the race to autonomous driving.
“Nvidia is a pioneer in the accelerated compute space who stands to benefit from AV adoption. As the automotive industry shifts towards electrification and automation we expect the need for compute power and AI training models on the car presents an incremental opportunity for Nvidia in AVs.”
Analysts on Wall Street currently have a consensus “Buy” rating on the stock. The average price target of $175 implies a 13% upside, however, the Street-high target of $250 implies an upside of 61%.
NVIDIA Corporation (NASDAQ:NVDA) specializes in AI-driven solutions, offering platforms for data centers, self-driving cars, robotics, and cloud services.
3. Meta Platforms, Inc. (NASDAQ:META)
Number of Hedge Fund Investors: 273
Meta Platforms, Inc. (NASDAQ:META) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On July 1, Bank of America reiterated the stock as “Buy.” The firm said that it’s bullish on reports that Meta has created a new Superintelligence Labs unit.
“According to a leaked internal memo, Meta’s AI efforts will now operate under a new group called Superintelligence Labs, led by Alexandr Wang, former CEO of ScaleAI.”
Previously, it was reported that Meta is hiring four more OpenAI artificial intelligence researchers in addition to the three hired last week.
As per the report, Shengjia Zhao, Jiahui Yu, Shuchao Bi, and Hongyu Ren are the researchers who have each agreed to join Mark Zuckerberg’s superintelligence efforts.
Meta Platforms, Inc. (NASDAQ:META) is a global technology company.
2. Microsoft Corporation (NASDAQ:MSFT)
Number of Hedge Fund Holders: 284
Microsoft Corporation (NASDAQ:MSFT) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On June 30, Bernstein SocGen Group analyst Mark Moerdler reiterated an “Outperform” rating on the stock with a $540.00 price target. The firm quoted strong Azure cloud performance and strategic AI investments behind the rating affirmation.
Bernstein pointed out that Microsoft’s Azure cloud service has accelerated to 35% constant currency growth in the recent quarter, with management projecting continued strength in the following quarter, supported by a 1% foreign exchange tailwind.
As expected by the firm, the company’s capital expenditure growth has slowed. This deceleration is expected to grow slower than cloud revenue, which will create a favorable financial outlook for the company.
The firm further talked about how Microsoft’s investments in artificial intelligence date back to 2019, positioning it well to capitalize on both traditional CPU and GPU revenue streams.
As per the firm, Microsoft has been successful in proving its ability to run both a cloud business and “the largest AI business” driven by its high-quality generative AI inferencing and applications.
Microsoft Corporation (NASDAQ:MSFT) provides AI-powered cloud, productivity, and business solutions, focusing on efficiency, security, and AI advancements.
1. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 328
Amazon.com, Inc. (NASDAQ:AMZN) is one of the 10 Buzzing AI Stocks on Wall Street Right Now. On July 1, Bernstein raised the firm’s price target on the stock to $235 from $230 and kept an “Outperform” rating on the shares. The modest price target raise follows firm expectations that constraints facing the stock will begin easing throughout the year.
As per the firm, AWS growth has decelerated sequentially in Q1 to +17% year-over-year. Meanwhile, AI contribution continued to expand at a triple-digit pace year-over-year from a relatively smaller base vs Azure.
The company continues to face supply constrained on chips, motherboards, and other components, similar to their CSP counterparts. This is why, despite strong demand indications, there is a near-term cap on topline growth.
The firm is positive that these constraints will ease throughout the year. In particular, a May 15th press release has highlighted more NVIDIA Blackwell GPUs coming online, implying that improvements may already begin in Q2.
While we acknowledge the potential of AMZN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than META and that has 100x upside potential, check out our report about this cheapest AI stock.
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